Culmination of Law

Culmination of Law

Comparative study Permissible and prohibited terms in the division of profits and losses in commercial enterprises

Document Type : Original Article

Authors
Abbas Niazi 1
Said Johar 2
1 PhD in Private Law, Faculty of Administrative Sciences and Economics, Isfahan University, Isfahan, Iran.
2 PhD in Private Law, Varamin Branch, Islamic Azad University, Varamin, Iran.
10.22034/thdad.2021.532869.1833
Abstract
Company activities are aimed at sharing the property in order to make a profit. Losses in such activities are inevitably due to the existence of a risk in commercial affairs. About the division of profit and loss, the general rule is that each partner contributes to the proportion of its share in the profit and loss of the company. But it is always a different division, the partners ' opinion is placed in the business companies, and some partners may even enter the company with the condition that they have a greater proportion of profit or do not hurt them or the profit and loss will be imposed on one of the partners. It is also possible to review more profits against more work or less losses in exchange for more activity. This article will discuss the accuracy and invalidation of these terms in Iran and French law.
Keywords
share of profit
loss
correct and void conditions
superior share
Culmination of Law
Volume 8, Issue 3
Autumn 2022
Pages 67-85